Minnesota Nonresidents/Part-Year Residents

Nonresidents/Part-Year Residents
2023 M1NR, Nonresidents/Part-Year Residents
2023 Schedule M1NR, Nonresidents/Part-Year Residents

*231331*

Before	you	complete	this	schedule,	read	the	instructions	and	complete	lines	1	through	11	of	Form	M1.

Your First Name and Initial

Your Last Name

Your Social Security Number

Spouse’s First Name and Initial

Spouse’s Last Name

Spouse’s Social Security Number

Minnesota Residency (Place an X in one box and enter other state of residency)
You:

Full-year	Nonresident		

	Part-Year	Resident	from	

Your Spouse:

Full-year	Nonresident		

	Part-Year	Resident	from	

(MM/DD/YYYY)
(MM/DD/YYYY)

to
to

(MM/DD/YYYY)
(MM/DD/YYYY)

Other	State	of	Residency:		
Other	State	of	Residency:		
A. Total Amount

1	 Wages,	salaries,	tips,	etc.	(from line 1z of federal Form 1040 or 1040-SR) 	 . . . . . . . . . . . . . . . 1
2	 Taxable	interest	and	ordinary	dividend	income (lines 2b and 3b of Form 1040 or 1040-SR)	 . 2
3	 Business	income	or	loss	(from line 3 of federal Schedule 1) . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
4	 Capital	gain	or	loss	(from line 7 of Form 1040 or 1040-SR)	 . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
5	 IRA	distributions,	pensions,	and	annuities	(from lines 4b and 5b of Form 1040 or 1040-SR) . 5
6	 Net	income	from	rents,	royalties,	partnerships,	S	corporations,	
estates,	and	trusts	(from line 5 of federal Schedule 1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
7	 Farm	income	or	loss	(from line 6 of federal Schedule 1)	 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
8	 Other	income (add lines 6b of Form 1040 or 1040-SR and
lines 1, 2a, 4, 7, and 9 of federal Schedule 1)	 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
9	 Interest	and	dividends	from	non-Minnesota	state	or	municipal	bonds
(add lines 1 and 2 of Schedule M1M) 	. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 9
10	 Bonus	depreciation	addition	from	line	1	of	Schedule	M1MB	. . . . . . . . . . . . . . . . . . . . . . . . . . 10
11 If	you	entered	an	amount	on	line	9	of	Schedule	M1REF,	see	instructions	. . . . . . . . . . . . . . . . 11
12 Suspended	loss	from	line	4	of	Schedule	M1MB	. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
13	 Other	required	adjustments	from	Schedules	M1M,	M1MB,	and	M1AR (see instructions). . . 13
14	 This	line	intentionally	left	blank . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
15	 Add	lines	1	through	14	for	each	column	. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
If your Minnesota gross income is below $13,825 see instructions.
16	 Educator	expenses,	certain	business	expenses,	and	Armed	Forces	moving	expenses	
(add lines 11, 12, and 14 of federal Schedule 1) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 16
17	 Self-employed	SEP,	SIMPLE,	and	qualified	plans	and	IRA	deduction
(add lines 16 and 20 of federal Schedule 1) 	. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
18	 Health	savings	account	and	Archer	MSA	deductions	
(add lines 13 and 23 of federal Schedule 1) 	. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
19	 One-half	of	self-employment	tax	and	self-employed	health	insurance	
(add lines 15 and 17 of federal Schedule 1) 	. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
20	 Deductions	for	alimony	paid	and	student	loan	interest
(see instructions for line 20, column B)	. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 20

9995

B. Minnesota Portion

2023 Form M1NR, page 2
*231371*

21	 Penalty	on	early	withdrawal	of	savings	(from line 18 of federal Schedule 1) 	 . . . . . . . . . . . . 21
22	 Other	subtractions	from	Schedule	M1MB	(see instructions). . . . . . . . . . . . . . . . . . . . . . . . . . 22
23	 Social	Security	benefit	from	line	12	of	Schedule	M1M	(see instructions). . . . . . . . . . . . . . . . 23
24 Subtraction	for	federal	bonus	depreciation	from	line	10	of	Schedule	M1MB	. . . . . . . . . . . . 24
25	 Net	U.S.	bond	interest	and	active	military	pay	
	 	 received	while	a	nonresident (add lines 14 and 22 of Schedule M1M)  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  .  . 25
26	 Subtraction	for	federal	section	179	expensing	(from line 11 of Schedule M1MB)  .  .  .  .  .  .  .  . 26
27	
28	
	 	
29	
	 	
30	

Add	lines	16	through	26	for	each	column		 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27
Subtract	line	27,	column	B,	from	line	15,	column	B.	Enter	here	and	on	line	13a	of	Form
M1.	If	your	Minnesota	gross	income	is	below	$13,825	or	the	result	is	zero	or	less,	enter	0	 . . . . . . . . . . . . . . . . . . . . . . 28
Subtract	line	27,	column	A,	from	line	15,	column	A.	
Enter	the	result	here	and	on	line	13b	of	Form	M1		 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29
Divide	line	28	by	line	29,	and	enter	the	result	as	a	decimal	(carry to five decimal
places).	If	line	28	is	more	than	line	29,	enter	1.0.	If	line	28	is	zero,	enter	0		 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 30

31	 Amount	from	line	12	of	Form	M1	 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31
32	 Multiply	line	30	by	line	31.	Enter	the	result	here	and	on	line	13	of	Form	M1	. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32
You must include this schedule with Form M1. Enter the amounts from lines 28 and 29 of this schedule on Form M1, lines 13a and 13b.

9995

2023 Schedule M1NR Instructions
Should I file this schedule?

File this schedule with your Form M1 if you meet the minimum filing requirement and in 2023 you were either a:
• Full-year nonresident of Minnesota
• Part-year resident of Minnesota
See Income Tax Fact Sheets 1, Residency; 2, Part-Year Residents; and 3, Nonresidents, to determine your residency status for Minnesota tax
purposes.
If you are married and file a joint federal return, you must file a joint Minnesota return even if only one spouse is a Minnesota resident or has
Minnesota income. You must include Schedule M1NR when you file your return.

What is the minimum filing requirement?

If your gross income assignable to Minnesota is $13,825 or more, you must file Form M1 and Schedule M1NR.
If you are considered a nonresident alien for federal tax purposes, and have gross income of at least $5 assignable to Minnesota, you must file a
Minnesota tax return and Schedule M1NR.

What is gross income assignable to Minnesota?

Gross income assignable to Minnesota includes all income you received while a Minnesota resident and income from Minnesota sources while
a nonresident, such as income passed through to you from:
• Partnerships (line 36 of Schedule KPI)
• S corporations (line 36 of Schedule KS)
• Estates or trusts (line 45 of Schedule KF)
Gross income is income before any deductions or expenses. Gross income does not include any military pay a Minnesota resident received for
military services outside Minnesota.
If your Minnesota gross income is below the minimum filing requirement, and you had tax withheld or paid estimated tax, follow the steps
below to complete your Schedule M1NR:
1. Complete lines 1-15 of Schedule M1NR.
2. Skip lines 16-26.
3. Enter 0 on line 28.
4. Enter the amount from line 15, column A, on line 29.
5. Complete lines 30-32.
Enter the appropriate amounts from Schedule M1NR on lines 13, 13a, and 13b of Form M1 and include the schedule when you file your return.
If your Minnesota gross income is below the minimum filing requirement, and you are completing Schedule M1NR only to determine your
refundable credits:
1. Complete lines 1-27 of Schedule M1NR.
2. Complete line 29 of Schedule M1NR.
3. Use this information to complete the worksheet provided in the instructions for the credits you claim.
If you were a resident of Michigan or North Dakota for all of 2023, do not complete this schedule if your only Minnesota source income is
exempt due to reciprocity (see Fact Sheet 4, Reciprocity, for more information). Complete Schedule M1NR only if you received income from
sources in Minnesota that does not qualify under reciprocity. (Income that is not excluded under reciprocity includes Minnesota source gambling winnings, capital gains, rental income, etc.)

Line Instructions

Round amounts to the nearest whole dollar.
Column A — Enter the appropriate amount from your 2023 federal or Minnesota income tax return. See the instructions for each line.

Line 8, Column A

If you received a 1099-K in error for an item you sold at a loss, reported the 1099-K amount on line 8z and again on line 24z of federal Schedule 1, do not include the amount reported on line 8z of Schedule 1 on line 8 of Schedule M1NR.

Line 11, Column A

If you received the pass-through entity (PTE) tax credit as a shareholder, partner, or beneficiary of an electing pass-through entity, include the
portion from line 2 of Schedule M1MB which is passed to you from the electing entity.

Continued

Line 13, Column A — Other required adjustments from Schedules M1M, M1MB, and M1AR
Include the amounts from:
•	 Line 3 of Schedule M1M
•	 Line 3 of Schedule M1MB
•	 Line 5 of Schedule M1MB
•	 Line 15 of Schedule M1MB (enter as a negative amount)
•	 Line 6 of Schedule M1MB if you completed Schedule M1AR

Line 22, Column A — Other subtractions from Schedule M1MB
Include the amounts from lines 13, 18, and 19 of Schedule M1MB.

Column B — Assign income or expenses to Minnesota according to the instructions. If you are a partner, shareholder, or beneficiary, include
the amounts from Schedule KPI, KS, or KF and follow the instructions with that schedule.

Line 1, Column B — Wages, Salaries, Tips, etc.

Include wages, salaries, tips, commissions, bonuses, and any other employee compensation received for work performed:
•	 While a Minnesota resident
•	 In Minnesota while a nonresident
•	 In Minnesota in a prior year but received in 2023
•	 In prior years while a Minnesota resident but deferred to 2023
Do not include on line 1, column B:
•	 Minnesota wages earned while a resident of Michigan or North Dakota that are covered under a reciprocity agreement
•	 Military pay received while a nonresident (from line 22 of Schedule M1M, Income Additions and Subtractions)
•	 Wages received as a nonresident military spouse, if you meet certain requirements (see Form M1 instructions)

Line 2, Column B — Interest and Ordinary Dividend Income

Include the interest and dividends you received (or had credited to your account) while you were a Minnesota resident and from Minnesota
sources you recognized while a nonresident. Do not include any interest or mutual fund dividends you received from U.S. bonds.

Line 3, Column B — Business Income (loss)

Include:
•	 Net Business income (or loss incurred) while a Minnesota resident
•	 From Minnesota sources earned while a nonresident

Line 4, Column B — Capital Gain (loss)

Include net capital gain (or loss) received:
•	 While a Minnesota resident
•	 From Minnesota sources while a nonresident
Do not enter a capital loss that exceeds the loss claimed in column A.

Line 5, Column B — IRA Distributions and Pensions and Annuities

Include IRA distributions and pension and annuity payments from lines 4b and 5b of Form 1040 or 1040-SR received while a Minnesota resident.

Line 6, Column B — Net Income from Rents, Royalties, Partnerships, S Corporations, Estates, and Trusts

Include income (or loss):
•	 Reported on federal Schedule E from rents, royalties, partnerships, S corporations, and estates recognized while a Minnesota resident
•	 From Minnesota sources recognized while a nonresident

Line 7, Column B — Farm Income (loss)
Include net farm income (or loss incurred):
•	 While a Minnesota resident
•	 From a Minnesota farm while a nonresident

Line 8, Column B — Other Income

Include other income you received:
•	 While a Minnesota resident
•	 From Minnesota sources, while a nonresident, included on lines 4 and 9 of federal Schedule 1

Line 9, Column B — Interest and Dividends from Non-Minnesota State or Municipal Bonds

Include the interest and dividends you received from non-Minnesota state or municipal bonds while a Minnesota resident.

Line 10, Column B — Bonus depreciation addition from line 1 of Schedule M1MB
Include the amount of the addition on line 1 of Schedule M1MB from Minnesota sources.

Line 11, Column B

Include the amounts from line 2 of Schedule M1MB passed to you from an electing pass-through entity using the apportionment percentage used
to allocate the income of the pass-through entity.

Line 12, Column B — Suspended loss from line 4 of Schedule M1MB

Include the amount from line 4 of Schedule M1MB that is attributed to income earned while a Minnesota resident or from Minnesota sources
while a nonresident.

Line 13, Column B — Other required adjustments from Schedules M1M, M1MB, and M1AR

Include the amounts from the lines listed below that are attributable to income earned while a Minnesota resident or from Minnesota sources
earned while a nonresident.
• Line 3 of Schedule M1M
• Line 3 of Schedule M1MB
• Line 5 of Schedule M1MB
• Line 15 of Schedule M1MB (enter as a negative amount)
• Line 5 or line 12 of Schedule M1AR

Line 16, Column B — Certain Business Expenses

Include any business expenses paid:
• While a Minnesota resident
• From income earned as a performing artist or fee-basis government official that you earned in Minnesota while a nonresident
• While teaching as a Minnesota resident or for teaching in Minnesota
If you are a member of the Reserves or National Guard, include any travel expenses paid while a resident and for meetings attended in
Minnesota while a nonresident.
Armed Forces Moving Expenses
Of the amount on line 14 federal Schedule 1, include moving expenses paid while a Minnesota resident or attributable to a move into Minnesota.

Line 17, Column B — Pension Plans

To determine your:
• Minnesota qualified plan contribution deduction: Multiply your federal qualified plan contribution deduction by the percentage you
determined in step 3 of the Worksheet for Line 19, Column B.
• Minnesota IRA, SEP or SIMPLE plan deduction: Multiply your deduction by the percentage of your total earned income that is allocable to
Minnesota (without lowering your wages for self-employment losses).
For the purpose of this deduction only, earned income includes wages, self-employment income, and alimony received. Subtract your selfemployment tax deduction (federal Schedule SE) from that total.
If your spouse also worked, determine your spouse’s deduction in the same way. Use only your spouse’s earned income plus your spouse’s
federal IRA, SEP, or SIMPLE plan deduction.

Line 18, Column B — Health Savings Account and Archer Medical Savings Account (MSA) Deductions
To determine your deduction amount:
1. Add lines 13 and 23 of federal Schedule 1.

2. Divide your Minnesota earned income by your federal earned income. For the purpose of this deduction only, earned income includes wages,
self-employment income, and alimony received.
3. Multiply the results of step 1 and step 2. Enter this amount on line 18, column B.

Line 19, Column B — Self-Employment Tax and Self-Employed Health Insurance
Worksheet for Line 19, Column B
1
2
3
4
5
6

7
8
9
10
11

Enter the amount from line 3 of your federal Schedule SE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Enter the amount from step 1 allocable to Minnesota . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Divide step 2 by step 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Amount from line 15 of federal Schedule 1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Multiply step 3 by step 4. The result is your Minnesota Self-Employed Tax Deduction. . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Line 2 of the worksheet for line 16 of federal Schedule 1 or line 13 of the Self Employment Health Insurance
worksheet in IRS Publication 535 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Enter the amount from step 6 allocable to Minnesota . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Divide step 7 by step 6. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Amount from line 17 of federal Schedule 1. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
Multiply step 8 by step 9. The result is your Minnesota Self-Employed Health Insurance Deduction. . . . . . . . . . . . . . . . . .
Add steps 5 and 10. Enter here and on line 19, column B . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

Line 20, Column B — Deductions for Alimony Paid and Student Loan Interest

Part-year residents: Add the following items and enter the same total on line 20, columns A and B:
•	 Alimony paid while a Minnesota resident included on line 19a of federal Schedule 1
•	 The portion of your student loan interest deduction (line 21 of federal Schedule 1) that represents interest paid while a Minnesota resident
Nonresidents: Enter zero on line 20, columns A and B.

Line 21, Column B — Penalty on Early Withdrawal of Savings

Enter the penalty on early withdrawal you paid while a Minnesota resident.

Line 22, Column B — Other Subtractions from Schedule M1MB

Multiply the amounts from lines 13, 18, and 19 of Schedule M1MB by the Minnesota apportionment ratio of the business in 2023. Include the
result on line 22, Column B.

Line 23, Column B — Social Security benefit subtraction from line 12 of Schedule M1M
Include the full amount in column B that is reported on line 12 of Schedule M1M.

Line 24, Column B — Subtraction for federal bonus depreciation

Multiply the amount from line 10 of Schedule M1MB by the Minnesota apportionment ratio of the business in 2023. Include the result in column B.

Line 25, Column B — Net U.S. Bond Interest and Active-Duty Military Pay Received by a Nonresident

The net amount of U.S. bond interest and active-duty military pay you received as a nonresident is not included in column B of lines 1 or 2. Do
not subtract these amounts on line 27, column B.

Line 26 — Section 179 Subtraction

Multiply the amount from line 11 of Schedule M1MB by the Minnesota apportionment ratio of the business in 2023. Include the result in column B.

Line 30

The result on line 30 is the percentage of Minnesota income to federal income.